The job of Pilots and Aircrew is quite stressful and challenging. Any unforeseen medical issues or minor accidents can cause suspension of their medical license temporarily or permanently, hindering their career as a pilot. Therefore, it’s essential to take an appropriate Aviation insurance policy that financially secures the pilot and his/her family.
Pilot loss of licence insurance can provide peace of mind and financial security to pilots if their aviation career ends abruptly due to medical conditions or violations. But with so many options on the market, how does one choose the right policy?
If you want to find out, check out the 6 key things to look for when buying pilot loss of license insurance in this blog.
What is Pilot Loss of Licence Insurance?
Pilots’ Loss of Licence insurance works as a combination of both the personal accident and sickness policies offered to pilots. It gives financial protection if an injury or illness puts the pilot off duty because of the suspension of a Class 1 medical certificate.
Depending on the insurance provider, individuals and groups can opt for Pilot Loss of License and Aviation Insurance. It mainly includes Airline Pilots, Helicopter Rescue Pilots, Flight Instructors, Helicopter Line Pilots, and Fixed-Wing Line Pilots.
Moreover, pilot loss of licence insurance offers two types of benefits, which help in paying monthly expenses and loans. It includes:
1. Permanent Loss of Licence
It provides a lump sum benefit if the illness or injury prevents you from working permanently as a pilot. It works as financial aid if your aviation career ends, helping you to find an alternative occupation.
2. Temporary Loss of Licence
It offers monthly benefits if an accident, bodily injury, or illness prevents you from working temporarily as a pilot.
Types of Pilot Loss of Licence Insurance
Mainly, employers offer two types of Pilot Loss of License Insurance.
- Individual Loss of Licence Coverage
It is a specific insurance policy designed for individual pilots, offering financial protection if they lose their license due to a medical condition or accident.
- Group Loss of Licence Coverage
Some airlines and pilot associations offer pilot loss of licence to their members as a part group scheme, offering financial protection at a discounted rate.
The 6 key things to look for when buying Aviation and Pilot Loss of License Insurance
Getting the right insurance broker or producer
Choose an experienced insurance broker with a track record of financial stability and good customer service in aviation. Conducting primary research can help you select a knowledgeable insurance broker who can assist you in choosing the appropriate coverage.
Insurance settlement process
Every insurance company has a different insurance settlement process. So make sure to understand the claims process and what documentation you will need to provide to file a claim.
Moreover, opt for an insurance company having a history of resolving claims and related issues quickly and equitably.
Check the coverage limits
Many people don’t pay too much attention to coverage limitations and face the issue of securing less than the actual cost. That’s why it’s wise to ensure that the policy provides sufficient coverage to meet your needs. So before choosing any personal insurance services, consider factors such as your age, the type of aircraft you fly, and your financial responsibilities.
Get a basic idea of the insurance cost
Before selecting any policy, it’s better to have a basic idea of policy prices. It will help you to get the right coverage at the relevant price. You can get a rough estimate by doing market research and discussing it with others in the aviation industry. Moreover, you can request quotes from insurance companies directly or consult an insurance broker who can compare quotes from multiple insurers and help you find a policy that fits your needs and budget.
Review the policy exclusions
Before making any decision, always review the exclusions mentioned in the policy. It will help you to understand what can and can’t get covered under the specific coverage. For example, some aviation policies will not offer coverage for specific aircraft or people with medical problems.
Who will fly the aircraft?
The coverage and its cost can vary depending on the individual. So it’s better to consider the factors like pilots’ age, medical history, and type of aircraft operated.
A pilot’s job is filled with uncertainties, making it crucial to get the right aviation coverage. Pilot loss of licence insurance can provide financial security and peace of mind to you and your family if you can’t fly due to medical conditions or violations.
We hope all these 6 key things mentioned above can help you find a policy that meets your needs and gives you the protection you need.